Trudi asked below question about CIF Terms and who is responsible to off-load cargo from the ship – seller or buyer..??
I have a CIF shipment to Dar es Salaam. The port cranes in Dar es Salaam can not handle the tonnage of the item we are sending. Who is responsible to hire and pay a portable crane to off load the cargo in Dar es Salaam – the buyer or the seller.
Trudi – Incoterms® 2010 defines CIF as below :
CIF – Cost, Insurance, and Freight “Cost, Insurance and Freight” means that the seller delivers the goods on board the vessel or procures the goods already so delivered.
The risk of loss of or damage to the goods passes when the goods are on board the vessel.
The seller must contract for and pay the costs and freight necessary to bring the goods to the named port of destination.
‘The seller also contracts for insurance cover against the buyer’s risk of loss of or damage to the goods during the carriage.
The buyer should note that under CIF the seller is required to obtain insurance only on minimum cover.
Should the buyer wish to have more insurance protection, it will need either to agree as much expressly with the seller or to make its own extra insurance arrangements.”
The cargo becomes the buyer’s property from the moment the cargo
passes over the ships rail at the port of shipment is loaded on board the ship.. Since it is his cargo, the BUYER is obligated to do what is required to off-load his cargo..
The BUYER is responsible to hire and pay for all costs associated with off-loading the cargo at Dar es Salaam.. From an insurance and risk perspective, it is always prudent to clearly show the actual place of insured destination in the sales contract, commercial invoice, L/C and any other relevant documents..
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